If you are thinking of investing in your first fixer upper, then you have a lot of things to think about. First, you need to be sure you have the resources available for you to put into a fixer upper in order to take care of the repairs, as well as pay the ongoing mortgage, taxes and other fees without causing yourself to end up in a bad financial situation. Once you have made sure you have the resources you need, then you want to know what other considerations to make when you are trying to decide on which fixer upper will be best for you.
Here are some pointers for ending up with a good fixer upper:
It really is all about location:
You can fix up a home in a way that transforms it from a dump into a castle and if that home is in a horrible location, then you will find it harder for you to sell it. This is why the location of a fixer upper should be one of the most important things you take into consideration before you decide to go ahead and buy it. Some things to verify is that it is in a nice-looking neighborhood without a lot of crime, that the school district has a good rating and that there aren't any negative things nearby like a freeway behind the property or an airport that causes airplanes to fly low over the house.
All your costs need to be considered:
You need to see how low you can get the house for and then figure out about how much all of the repairs will cost you. Materials and labor need to be considered, as well as the costs of any permits you may need to get in order to possibly have some of the work done. You really do need to know what you are getting yourself into, so it's important to have a complete inspection done before buying the house, so you don't start renovating it only to find that you are surprised by a house full of mold or other issues that are going to end up costing you much more to take care of. Once you determine what your costs will be, you should always err on the side of caution and add a few thousand more for incidentals and surprises.
Make sure the house will be in a good position to be flipped:
Once you find a house that you feel may be a good one to fix and flip, you need to really go through its features and make sure it is going to prove to be easy to sell once it is fixed up. You may not want to risk a very small home, a home with only one bathroom, a home without a garage, a home on a flag lot or one with other weaknesses or issues. However, you may be able to add some of what it is lacking to turn it into a desirable home. For example, turning a one-bathroom home into a two bathroom makes it more desirable and increases the value right away.
If you'd like to start finding ideal fixer-uppers, contact local real estate agents.Share
8 January 2018
About a year ago, I realized that there were some serious issues with our home. I could tell that we needed to do something to upgrade our residence, so we started looking for a different property. I was able to find a really nice real estate agent who could help, and they worked hard to pair us with the perfect home for our budget and lifestyle. Now I can honestly say that I love my home, and I couldn't have chosen a better one on my own. Check out this blog for great information on improving real estate holdings and finding a better home.